Compliance of Accounting Standards and Conceptual Frameworks by CSL Limited

ACCOUNTING

Contents
Introduction................................................................................................................................3
CSL limited................................................................................................................................3
Theoretical conceptualisation of accounting..............................................................................4
Fundamental Qualitative Characteristics...................................................................................8
Relevance...............................................................................................................................8
Faithful representation..........................................................................................................10
Conclusion................................................................................................................................11
References................................................................................................................................12

Introduction
The report introduces and analysis the concept of compliance of accounting standards
and conceptual frameworks by the organisation named “CSL limited.” Conceptual
framework is a part of financial reporting that has a defined system of objectives and
ideas. Conceptual framework leads to formulation of set of rules in accounting
(Jacobson, Kapur, & Reimann, 2016). It acts as a framework that sets accounting
standards and it provides a basis to resolve the accounting disputes. Although every
organisation comply with conceptual framework and corporation Act, 2001, which
clarifies that liabilities and assets, are undertaken with respective abilities when
defending as per the proceedings against policies, details of the liability, premium
paid, and rules and other proceedings (Jacobson, Kapur, & Reimann, 2016). The
examination regarding handle each transaction with the other actions applicable on
accounts. A discussion and debatable discussion occurred regarding the issues found
relatable to accounting concepts and the measurement in regards to the intangible
assets so that it can handle liabilities and assets (Jacobson, Kapur, & Reimann, 2016).
This report puts a check on the quantitative attributes to the data as given in the
financial reports by considering the inspection of liabilities and assets. Issues related
to non-compliance of procedures and standards have been occurring even when it
does not fulfil the demand of the AAASB (Jacobson, Kapur, & Reimann, 2016).
CSL limited
CSL is a global biotechnological leader that usually delivers and develop innovative
medicines that can protect the lives, prevent public health, and assist the people with
the life threatening conditions so that they can live full lives. The group aims to create
a sustainable value to the stakeholders. The company was established in 1916 in order
to provide services to the health needy people. The company has global specialisation

for the biotechnology that develops markets and researches the product so that it can
prevent serious human medical things (Mosavianpour, Sarmast, Kissoon, and Collet,
2016). The company`s product includes vaccines, cell culture, blood plasma, and
antivenom used in medical and other genetic researches and other manufacturing
applications. The profitability score of the industry is quite relevant to the evaluation
of stock attractiveness as the profitability of the CSL limited is greatly profitable as
the score is eight (Mosavianpour, Sarmast, Kissoon, and Collet, 2016). Company`s
capability with the combined global research and development (R&D) that further
prove excellence to find it efficiently and develop it successfully by delivering
innovations which the patient want and need. All the material facts are to be the part
of the accounting procedure (Smieliauskas, Craig, and Amernic, 2017).
Theoretical conceptualisation of accounting
Accounting theory defines a set framework, assumptions, and other methodologies
that are used in the application of the reporting principles for financial statements. The
main purpose for the financial statements according to the AAS (Australian
Accounting Standards), IFRS (International Financial Reporting standards), other
authoritative pronouncement, and the Corporation Act, 2001 (Laar, Deursen, Dijk,
and Haan, 2017).
Cost principle- As per this principle, it is seen that transaction must be listed at
historical costs. Original cash purchase when purchasing rather than considering the
recent market value (Mosavianpour, Sarmast, Kissoon, and Collet, 2016). The main
objectives of cost principle are invoices, bank transaction, and other sales receipt
confirming to the original purchase price of the asset (Morioka, & Carvalho, 2016). It
represents data on the basis of historical cost with certain financial instrument is
regards to the fair value measurement. Land, capital plant, equipment assets, and